Skanska to expand Forum Nacka for approx. SEK 1 billion (SE)

Skanska will expand the shopping center facility Forum Nacka in southeastern Stockholm. Two contracts valued at a total of SEK 979 million (approx. 105 million) are included in order bookings for the third quarter of 2005.

The shopping center owner Rodamco Europe Nordic has awarded Skanska the contract to expand the center. The construction contract amounts to SEK 700 million. In addition, apartments will be built for HSB in a contract valued at SEK 279 million.

When the expansion is completed in 2008, the Forum Nacka shopping center will be one of Sweden's largest. Retail space will double from some 23,000 m² today to about 45,000. The number of stores will increase from 73 to 142.

The new Forum Nacka will be able to offer visitors a larger and more varied range of services, together with restaurants and cafés. In addition, the number of parking spaces will be doubled to about 1,800.

The apartments to be built for HSB will be directly adjacent to the shopping center. There will be a total of about 260 apartments with a combined living space of 19,000 m². The apartments will range in size from one-room units of 40 m² to five-room apartments of 115, which will all be tenant-owned.

"We are looking forward to building even more housing units in Nacka. HSB has been heavily involved in influencing Nacka's housing construction through the years," says Charlotte Axelsson, President, HSB Stockholm.

"It is pleasing that we are able to continue our longstanding relations with Rodamco and HSB," says Lars Enroth, Business Manager, Skanska Sweden. "Now we will jointly develop this cooperation to enhance the efficiency of the construction process."

Work will begin in September 2005 and be completed by the autumn of 2008. Existing stores in Forum Nacka will be able to maintain their ordinary opening hours throughout the entire construction period.

Forum Nacka has some 4.6 million visitors each year and was originally developed and constructed by Skanska. The shopping center, which was completed in 1989, was sold in 1996 and is now owned by Rodamco Europe Nordic.

Rodamco Europe Nordic owns 15 shopping centers in Sweden, of which ten are in the Stockholm area, plus one in Denmark, which is the Fisketorvet Shopping Center built by Skanska.